The 22 Fund Closes Multi-Million Dollar Investments to Support Diverse Entrepreneurs
The 22 Fund, a Los Angeles-based growth capital fund, announced that Bank of America and Roy and Patricia Disney Family Foundation (RPDFF) have committed to The 22 Fund I, LP (The 22).
The 22, established in 2018 to be a $100 million vehicle making equity, debt and revenue share investments, provides capital to promising technology-driven, export-oriented manufacturing companies led by Black, Indigenous and People of Color (BIPOC) women and entrepreneurs who are often excluded from tech capital opportunities.
22’s mission is to help create well-paying jobs and economic prosperity for low- and moderate-income communities through its strategic investments in growing businesses founded by BIPOC. Named after the 22 Pobladores, the men and women of color who founded Los Angeles, The 22 Fund honors these founders for their diversity, tenacity, ingenuity and productivity.
Its focus on high-tech US manufacturing companies that have the potential for rapid growth and high profitability through international sales (exports) is a one-of-a-kind strategy that provides portfolio diversification for investors seeking impact. uncompromising reality within the highly performing private sector. equity asset class.
“The interests of the 22 are aligned with those of our investors – commercially, environmentally, socially and ethically. Our investors understand and appreciate the new, holistic venture capital and private equity models that can address the important issues of this defining decade,” said Tracy Gray, Founder and Managing Partner of The 22 Fund.
“The 22 know that we need a sense of urgency to address these issues. We are pioneers in realizing opportunities to invest in diverse, high-growth, clean domestic manufacturing leaders to create jobs in the United States.
“Bank of America’s equity investment in The 22 Fund underscores our continued efforts to close the persistent gap in access to growth capital for women and minority-led businesses. Being based in Los Angeles, one of the most ethnically and industrially diverse markets in the world, The 22 Fund is well positioned to help more minority-owned entrepreneurs develop their business ideas, which will ultimately create more jobs and economic opportunity in Southern California and the country,” said Raul A. Anaya, head of Bank of America Business Banking and president of Greater Los Angeles.
“The status quo will not move the needle and decisive action is needed to address long-standing systemic inequalities. The focus and mission of 22 Fund brings an attractive element to our portfolio to address some of the serious issues facing the country,” said Shawn Escoffery, CEO of the Roy and Patricia Disney Family Foundation.
Fund 22 is once again making the domestic manufacturing industry an attractive investment sector. For several decades, American companies have been outsourcing manufacturing jobs because of cheap labor overseas. However, underlying systemic changes in global business and trade, consumer demand, supply chain shortages, and improvements in processes, materials, and technologies mean that cheap labor is no longer a key factor in a company’s cost competitiveness.